Question for the Money Doctors

Question submitted on Jul 31, 2013.

Question

how to preserve assets from Medicaid/nursing homes.thank you.

Answer

This is more of a legal question with no simple answer. The laws governing estate planning are extremely complex and vary from state-to-state. Contact a law firm which specializes in elder and Medicaid law.

A qualified attorney can assist you in legally transferring assets to family members or an irrevocable trust for protection from nursing home expenses. Medicaid has a 5-year look-back period in which transfers can be penalized, so it is critical to plan ahead.

Also, consider applying for a long-term care insurance policy. These types of plans come in many varieties and can be customized to the needs of the individual buyer and their financial situation. Make sure to work with an expert, such as a CPA/PFS, when designing a plan using this solution. Visit www.findacpapfs.org to find a CPA/{FS near you.